British firm AgDevCo has signed a partnership with Root Capital, a financial institution that funds the agriculture sector in SubSahara Africa. Through this investment AgDevCo will invest $5 million in a consortium of four Kenyan firms specialised in macadamia nuts processing and exports.
This is the first investment realised by AgDevCo in Kenya, which is the third largest macadamia producer in the world after Australia and South Africa.
The two partners have targeted Afrimac, which exports about 5,000 tons of the nut per year, Sagana Nuts, The Village Nut Company and Jumbo Nut.
The investments will help those beneficiaries improve their production capacities and buy nuts from 21,000 small producers.
This investment is also the smallest realized in all the nine countries where it operates. Overall, it has $22.4 million invested in ten countries, Tanzania being the country that captured most of its fundings in Africa.
Source: Chamberline Moko